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What’s missing? In May 2025, one in seven home-purchase agreements fell through resulting in the cancellation of 56,000 purchase contracts. Each is attempting to slather AI on today’s offering: this fueling a hype cycle for agentic AI. Technology can change or even improve work. It is a landgrab of sorts.
I wrote my first report on Sales and Operations Planning (S&OP) while sitting on the floor in the Atlanta airport in 2005 when I was an AMR Research analyst. I wrote many reports on airport floors in those days–electrical plugs were just too scarce.) Sales and Operations Maturity Model from 2005-2008.
Over the years, working for and with numerous manufacturing companies, I’ve seen many supply chain practices that cost companies money. Reason #9 Relentless pursuit of one supply chain metric at the expense of other metrics. Imagine that your child brings home their report card and it’s a mix of good and fair grades.
To entice you to participate let’s look at the data more closely. In the supply chain team analysis, note the 21% gap between procurement and manufacturing teams, the 35% gap between sales and operations and the 21% gap between finance and operations. Functional Metrics. To respond, follow this link.
Given your expertise, I’d love to hear what alternatives you recommend for better demand forecasting and real-time visibility beyond what’s commonly adopted today.” I know that your primary focus is procurement. Unfortunately, the industry is full of a lot of Anna(s) and her friends, the doubting Thomas (s).
Let’s hope that these new executives see the light of a new day. OMP’s press release this week announced nine new chiefs. OMP, like o9 and Kinaxis, benefited from the SAP’s APO migration failure. following the reporting of fourth-quarter results. Here are my predictions: Daybreak.
Nvidia, Northrup Grumman, PACCAR Inc, PCA (Packaging Corporation of America), ResMed, Rockwell Automation, Ross Stores, Taiwan Semiconductor Manufacturing (TSMC) Company, Tempur-Pedic, TJX, Toro, Toyota, West Pharma, United Tractors, and Urban Outfitters. The group’s response is, “Are these supply chain metrics?”
Having a strong Sales & Operations Planning (S&OP) strategy ensures that your forecasts, raw materials availability and production capacity all match up and that the factory floor can meet its defined deadlines. But simply putting an S&OP strategy in place isn’t enough. Quantity of goods in the order.
In 2012, I published an article on Sales and Operations Technology (S&OP) Maturity. (I I never republished the report, because not enough has changed to warrant it.) The report centers on the concept of moving from inside-out to outside-in technologies. Let’s start with a definition of concurrency.
Sales and Operations Planning (S&OP) is a continuous business process that enables firms from hospitals to chemicals to respond to emerging situations intelligently. Our focus today is to discuss the relevance of buzz words such as Analytics, PredictiveAnalytics, Data Science, and Machine Learning, for S&OP.
As we head into the holiday season, supply delays, logistics constraints and inflation are looming over shoppers and retailers—and the manufacturers and distributors who keep them in supply. The following strategies, based on data, analytics, and collaboration, are helping planners around the globe overcome a disrupted supply chain.
GEON Performance Solutions purchases plastic pellets and add plastic compounders to make products of different strength, resilience, and flexibility. The roots of IBP are in sales & operations planning (S&OP). S&OP is usually a month-long cross functional process that involves five steps.
IBP vs S&OP. Determine The Financial Costs Of Supply And Planning Decisions. Organizational metrics are important. S&OP plans often focus on objectives like on-time in-full (OTIF) , inventory turns, and resource utilization. IBP allows to integrate the S&OP plan with the financial plan.
There is so much data, and to make use of it, we need to use data mining and analytics to drive meaningful insights that can be put to some good use. ABC analysis creates product segments by grouping products with similar sales volume or purchase frequency to enable category managers to focus on what matters most.
For 58 years, food and beverage and consumer goods manufacturers have battled for dominance, from chips and wings to soda, beer, party supplies, and even aluminum foil for food storage and DIY trophies. Manufacturers that dont plan ahead will lose the game. That takes a data-driven approach to forecasting, procurement and distribution.
Next year’s conference will be on September 8th-11th in Franklin, TN, south of Nashville, TN. The number one question that I am asked today by manufacturers across all industries is “How can I improve customer service?” The budget is for a fiscal year with quarter reporting and updates. The Role of the Budget in S&OP.
In the last 30 years S&OP improved performance in many businesses. However, S&OP has not yet substantially delivered on its ultimate promise of enterprise wide resource management, rolling financial forecasting and strategy deployment. Worse, overall S&OP development and progress seems to have stalled.
One day, a product is flying off the shelves, and the next, it’s gathering dust. That’s why staying on top of the latest supply chain planning trends is so important – they can make all the difference when it comes to staying competitive, reducing costs, and meeting your customers’ needs.
However, what is clear from our recent study of 73 manufacturers using supply chain planning is that companies using best-of-breed solutions implement faster, achieve a quicker Return-on-Investment (ROI), and are more satisfied. Let’s start with a definition. All of the results are reported in aggregate. Or accidental?
Introduction For many companies the implementation of a formal Sales and Operation Planning (“S&OP”) process has not delivered the expected improvement in demand and supply integration. Overly focused on efficiency and cost savings, i.e. on the “O,” the “S” in S&OP now seems to have become an afterthought.
Many of the case studies being presented at today’s conferences were born during the pandemic and the post-pandemic turbulence. Almost two decades of reporting. The analysis is biased toward large process-based manufacturers in the Gartner network. Leaders of the 90’s Are No Longer Leaders. Is this success?
With the purchase of i2 by JDA, and Logictools by IBM, manufacturing companies serious about network design started looking for a company, with a well-established community, that was more serious about network design. I smiled as I began to present the story of the “Metrics that Matter.”
Sales and Operations Planning (S&OP) processes have evolved over the last 30 years to address this age-old problem, yet recently SCM World declared “S&OP is still the top inquiry within the SCM World community.”* The struggle to balance customer demand with available supply is as old as trade itself.
This experience is not only frustrating industry executives – it’s compelling them to reassess their sales and operations planning (S&OP) process. Batch manufacturing is more controlled and optimized, improving inventory turns and production scheduling efficiency.
I have learned that supply chain systems are more complex than I originally thought, and that the relationships between supply chain metrics are nonlinear. They also enable the evaluation of networks for both sales and procurement relationships to optimize the flows upstream and downstream. And, in our Digital Manufacturing Study.
In Figure 1, I show results from a recent S&OP study. S&OP Challenges. How do we harness the power of data with new forms of analytics? Jackie kept a lookout perched on puff’s gigantic tail. Today, technology providers are selling analytics. Puff, the magic dragon lived by the sea.
This morning, the New York Times pushed me an article by Peter S. Too few are questioning the products that should have never been manufactured. Let’s face it our historic practices for demand planning create waste in a more variable world. So, my reply to Peter S. Supply-centric or Manufacturing Thinking.
As a result, a wide range of businesses, from restaurants, and retail chains, to manufacturers, have been redesigning their business services and operations and re-engineering their supply chains. Well, we also know that many legacy systems will not be able to support all these changes quickly and cost-effectively.
While MRP and S&OP were defined as early as the 1980s, these provided rough cut analysis at the aggregate level, nowhere near the level of detail that is possible today. Now they want to deploy an S&OP process. Their words. I am highlighting where many of the productivity gains have already been realized.
In today’s volatile global trade landscape, enterprises face ongoing pressure to optimize their supply chain operations. Rising costs, geopolitical tensions, and tariffs demand a strategic and holistic approach to maintain profitability and competitive advantage. There are many ways an organization can cut supply chain costs.
But there is good news: a convergence of process, data, and technology provides the real-time and predictive visibility needed to optimize supply chain planning, ensuring food manufacturers can build resilience now and for the future. Planning Manufacturing Based on Demand. Preparing for Market-Driven Demand.
SmartOps was purchased by SAP. The press release last week cited the reason for the acquisition, “…as part of the strategy to build a real-time optimization solution for S&OP on SAP HANA. SAP released an S&OP solution using HANA in 2011. However, the picture is not that rosy.
ATLANTA – January 25, 2022 – According to PWC’s December 2021 Global Consumer Insights Pulse Survey , about half of respondents consciously consider factors related to sustainability when making purchasing decisions. Logility, Inc., Logility, Inc., These factors include, but are not limited to, continuing U.S.
Demand sensing uses forward-looking inputs to augment a historical forecast to improve forecast accuracy and synchronize and align purchasing, manufacturing, and deployment operations to what is really happening in the supply chain. What’s the answer?
The power of Integrated Business Planning (IBP) comes in helping companies align financial, sales, production, procurement and marketing information into a single plan, grounded in modern-day reality. You need to examine revenue, cost and margin impacts of every scenario under consideration.
Depending on who you ask, the answer can be anything from low costs and efficiency to a delicate balance between profitability and customer service. The fusion of General AI and Narrow AI – collectively termed AI+ – is set to revolutionize how knowledge workers engage with inventory management, S&OP, and supply planning.
Planting the Seeds of Resilience Most companies understand that accurate forecasts are critical to minimizing inventory, maximizing production efficiency, streamlining purchasing, optimizing distribution, minimizing waste, and projecting future performance confidently.
ThroughPut AI: Best for supply chain analytics and decision intelligence WATCH ON-DEMAND THROUGHPUT AI DEMO With Artificial Intelligence (AI) and Machine Learning (ML), a very powerful force comes into play in your supply chain decision-making processes with ThroughPut AI.
Let’s focus first on John. His organization purchased an advanced planning technology from well-known best of breed provider, and the implementation should have been successful, but it was not. BTW, John’s situation is more common that most people acknowledge.) Don’t fight the fire, use data to drive alignment.
Planalytics’ weather-driven demand analytics help businesses stay ahead of never-ending sales variability. Logility customers can leverage Planalytics weather-driven demand analytics to factor in the weather’s influence on top line revenue and product/category sales across specific time periods and locations. ATLANTA – Jan.
Industrial manufacturing supply chains operate in one of the more complex environments in recent memory. Variables like global disruptions, rising input costs, and increasing customer demands continue to challenge even the most sophisticated supply chains. This leaves planners guessing which risks are relevant and how to respond.
” At least, that’s what was promised. This includes the automation of path-to-purchase for consumer products, active shaping of demand through price, channel incentives and promotions, eCouponing and mobile commerce for retail, and product proliferation for all. ” I smiled. Instead, it is designed for resiliency.
Ronan Stephens, the Senior Vice President of Supply Chain Management and External Manufacturing, explained how the company set out on a journey to improve customer service while also reducing costs. Manufacturing would not have been able to respond to that kind of event for two months. “We
Whether you''re a manufacturing company in China, a sourcing agent in London or a world''s leading company in Silicon Valley, we''re all in a global supply chain networks. That''s why we ask our experts a very simple question " How to improve the operational efficiency in global supply chain?
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